Musgrave Minerals Ltd (ASX: MGV) has confirmed that Evolution Mining Limited has satisfied the earn-in requirement under the Cue Project Earn-in and Exploration Joint Venture Agreement (Cue JV) to earn a 75% interest in the Cue JV in Western Australia’s Murchison district.
The Cue JV is primarily focused on Lake Austin which lies to the north of the Company’s 100% owned Mineral Resources at Cue (Lena, Break of Day, White Heat-Mosaic and Big Sky deposits, and the Mainland option area).
As Evolution has met the A$18 million expenditure requirement to complete the earn-in, an unincorporated joint venture is now formed and a joint venture committee will be established. Musgrave has the right to contribute to ongoing exploration costs on a pro-rata basis to maintain its 25% interest following approval of a proposed exploration program and budget, or can elect to dilute.
Cue Joint Venture – Background
In October 2019, Musgrave entered into the Cue JV with Evolution over a large area of Lake Austin and surrounds on the Cue Project in the Murchison District of Western Australia.
The Cue JV with Evolution lies to the north of, and excludes, all of the company’s 100% owned Mineral Resources at Cue (Lena, Break of Day, White Heat-Mosaic and Big Sky deposits), and the Mainland option area.
Some significant drill results to date at the West Island prospect on the Cue JV ground include:
- 6.0m @ 6.4g/t Au from 385.5m (22CUDD012)
- 1.0m @ 74.2g/t Au from 410.0m (22CUDD016)
- 2.0m @ 66.0g/t Au from 438m (22CUDD008)
- 3.5m @ 16.2g/t Au from 366m (22CUDD007)
- 19m @ 4.4g/t Au from 282m (22CUDD001)
- 12m @ 4.9g/t Au from 322m (22CUDD002)
- 4.26m @ 41.5g/t Au from 160.74m (21MODD025)
- 3m @ 10.6g/t Au from 247.5m (21MODD006)
- 5m @ 5.5g/t Au from 276m (21MODD001)
Ongoing Exploration
- A joint venture committee will be established and meet in early Q1 CY2023.
- A data review is currently underway and a programme and budget for ongoing exploration
- is being prepared by Evolution for consideration by the JV committee.
- Musgrave has the right to contribute or elect to dilute once the programme and budget has been approved.
